An Act appropriating moneys to the Department of Environmental
Protection for the purpose of making grants, zero interest loans, or principal
forgiveness loans to project sponsors to finance a portion of the costs of
environmental infrastructure projects.

Be It Enacted by the Senate and General Assembly of the State of New
Jersey:

1. a. (1) There is appropriated to the
Department of Environmental Protection from the "Clean Water State
Revolving Fund" established pursuant to section 1 of P.L.2009, c.77, an
amount equal to the federal fiscal year 2018 capitalization grant made
available to the State for clean water project loans pursuant to the
"Water Quality Act of 1987" (33 U.S.C. s.1251 et seq.), and any
amendatory and supplementary acts thereto (hereinafter referred to as the
"Federal Clean Water Act").

(2) There is appropriated to the Department of
Environmental Protection from the "Interim Environmental Financing Program
Fund" created and established by the New Jersey Infrastructure Bank pursuant
to subsection d. of section 9 of P.L.1985, c.334 (C.58:11B-9) such amounts as
may be necessary to supplement the sums appropriated from the Clean Water State
Revolving Fund for the purposes of clean water project loans and providing the State
match as required or will be required for the award of the capitalization
grants made available to the State for clean water projects pursuant to the
Federal Clean Water Act.

(3) There is appropriated to the Department of
Environmental Protection from the "Disaster Relief Emergency Financing
Program Fund" created and established by the New Jersey Infrastructure Bank
pursuant to section 1 of P.L.2013, c.93 (C.58:11B-9.5) such amounts as may be
necessary to supplement the sums appropriated from the Clean Water State
Revolving Fund for the purposes of clean water project loans and providing the
State match as required or will be required for the award of the capitalization
grants made available to the State for clean water projects pursuant to the
Federal Clean Water Act.

(4) There is appropriated to the Department of
Environmental Protection from the "Drinking Water State Revolving
Fund" established pursuant to section 1 of P.L.1998, c.84 an amount equal
to the federal fiscal year 2018 capitalization grant made available to the
State for drinking water projects pursuant to the "Safe Drinking Water Act
Amendments of 1996," Pub.L.104-182, and any amendatory and supplementary
acts thereto (hereinafter referred to as the "Federal Safe Drinking Water
Act").

The Department of Environmental Protection is
authorized to transfer from the Clean Water State Revolving Fund to the
Drinking Water State Revolving Fund an amount up to the maximum amount
authorized to be transferred pursuant to the Federal Safe Drinking Water Act to
meet present and future needs for the financing of eligible drinking water
projects, and an amount equal to that maximum amount is hereby appropriated to
the department for those purposes.

The Department of Environmental Protection is authorized
to transfer from the Drinking Water State Revolving Fund to the Clean Water
State Revolving Fund an amount up to the maximum amount authorized to be
transferred pursuant to the Federal Clean Water Act to meet present and future
needs for the financing of eligible clean water projects, and an amount equal
to that maximum amount is hereby appropriated to the department for those
purposes.

(5) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the Clean Water State
Revolving Fund, including the balances from the Federal Disaster Relief
Appropriations Act, and any repayments of loans and interest therefrom, for the
purposes of clean water project loans and providing the State match as
available on or before June 30, 2019, as required or will be required for the
award of the capitalization grants made available to the State for clean water
projects pursuant to the Federal Clean Water Act.

(6) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the "Wastewater
Treatment Fund" established pursuant to section 15 of the "Wastewater
Treatment Bond Act of 1985" (P.L.1985, c.329), and any repayments of loans
and interest therefrom, as available on or before June 30, 2019, for the
purposes of clean water project loans and providing the State match as required
or will be required for the award of the capitalization grants made available
to the State for clean water projects pursuant to the Federal Clean Water Act.

(7) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the "1992 Wastewater
Treatment Fund" established pursuant to section 27 of the "Green Acres, Clean
Water, Farmland and Historic Preservation Bond Act of 1992" (P.L.1992, c.88),
and any repayments of loans and interest therefrom, as available on or before
June 30, 2019, for the purposes of clean water project loans and providing the
State match as required or will be required for the award of the capitalization
grants made available to the State for clean water projects pursuant to the
Federal Clean Water Act.

(8) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the "2003 Water
Resources and Wastewater Treatment Fund" established pursuant to subsection a.
of section 19 of the "Dam, Lake, Stream, Flood Control, Water Resources, and
Wastewater Treatment Project Bond Act of 2003" (P.L.2003, c.162), and any
repayments of loans and interest therefrom, as available on or before June 30,
2019, for the purposes of clean water project loans and providing the State
match as required or will be required for the award of the capitalization
grants made available to the State for clean water projects pursuant to the
Federal Clean Water Act.

(9) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the "Pinelands
Infrastructure Trust Fund" established pursuant to section 14 of the "Pinelands
Infrastructure Trust Bond Act of 1985" (P.L.1985, c.302), and any repayments of
loans and interest therefrom, as available on or before June 30, 2019, for the
purposes of clean water project loans and providing the State match as required
or will be required for the award of the capitalization grants made available
to the State for clean water projects pursuant to the Federal Clean Water Act.

(10) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the "Stormwater
Management and Combined Sewer Overflow Abatement Fund," established
pursuant to the "Stormwater Management and Combined Sewer Overflow Abatement
Bond Act of 1989" (P.L.1989, c.181), and any repayments of loans and interest
therefrom, as available on or before June 30, 2019, for the purposes of clean
water project loans and providing the State match as required or will be
required for the award of the capitalization grants made available to the State
for clean water projects pursuant to the Federal Clean Water Act.

(11) There is appropriated to the Department of
Environmental Protection the unappropriated balances from the Drinking Water
State Revolving Fund, including the balances from the Disaster Relief
Appropriations Act of 2013, for the purposes of drinking water project loans
and any repayments of loans and interest therefrom, that are or may become
available on or before June 30, 2019.

(12) There is appropriated to the Department of
Environmental Protection such sums as may be needed from loan repayments and
interest earnings from the "Water Supply Fund" established pursuant
to section 14 of the "Water Supply Bond Act of 1981" (P.L.1981, c.261) for the
"Drinking Water State Revolving Fund Match Accounts" contained within
that fund for the purpose of providing the State match as required or will be
required for the award of the capitalization grants made available to the State
for drinking water projects pursuant to the Federal Safe Drinking Water Act.

(13) There is appropriated to the Department of
Environmental Protection from the "Interim Environmental Financing Program
Fund" created and established by the New Jersey Infrastructure Bank pursuant to
subsection d. of section 9 of P.L.1985, c.334 (C.58:11B-9) such amounts as may
be or become available on or before June 30, 2019, and any repayments of loans
and interest therefrom, as may be necessary to supplement the sums appropriated
from the Drinking Water State Revolving Fund for the purposes of drinking water
project loans and providing the State match as required or will be required for
the award of the capitalization grants made available to the State for clean
water projects pursuant to the Federal Safe Drinking Water Act.

(14) There is appropriated to the Department of
Environmental Protection from the "Disaster Relief Emergency Financing Program
Fund" created and established by the New Jersey Infrastructure Bank pursuant
to section 1 of P.L.2013, c.93 (C.58:11B-9.5) such amounts as may be necessary
to supplement the sums appropriated from the Drinking Water State Revolving
Fund for the purposes of drinking water project loans and providing the State
match as required or will be required for the award of the capitalization
grants made available to the State for drinking water projects pursuant to the
Federal Safe Drinking Water Act.

(15) There is appropriated to the Department of
Environmental Protection such sums as may be received by the Department of
Community Affairs as the grantee from the United States Department of Housing
and Urban Development Community Development Block Grant - Disaster Recovery
Program (CDBG-DR), as anticipated and upon availabilityon or before June 30, 2019, for the purposes of CDBG-DR eligible clean
water and drinking water project loans and providing the State match as
required or will be required for the award of the capitalization grants made
available to the State for clean water projects pursuant to the Federal Clean
Water Act and drinking water projects pursuant to the Federal Safe Drinking
Water Act, respectively.

(16) There is appropriated to the Department of
Environmental Protection such sums as may be or become available on or before
June 30, 2019, as repayments of drinking water project loans and any interest
therefrom from the "Water Supply Fund" established pursuant to section 14 of
the "Water Supply Bond Act of 1981" (P.L.1981, c.261) for the purposes of
drinking water project loans and providing the State match as required or will
be required for the award of the capitalization grants made available to the
State for drinking water projects pursuant to the Federal Safe Drinking Water
Act.

(17) Of the sums appropriated to the Department of
Environmental Protection from the "Water Supply Fund" pursuant to
P.L.1999, c.174, P.L.2001, c.222, P.L.2002, c.70 and P.L.2003, c.158, the
department is authorized to transfer any unexpended balances and any repayments
of loans and interest therefrom as may be or become available on or before June
30, 2019, in such amounts as needed to the Drinking Water State Revolving Fund
accounts contained within the Water Supply Fund established for the purposes of
providing drinking water project loans and providing the State match as
required or will be required for the award of the capitalization grants made
available to the State for drinking water projects pursuant to the Federal Safe
Drinking Water Act.

(18) Of the sums appropriated to the Department of
Environmental Protection from the "1992 Wastewater Treatment Fund"
pursuant to P.L.1996, c.85, P.L.1997, c.221, P.L.1998, c.84, P.L.1999, c.174,
P.L.2000, c.92, P.L.2001, c.222 and P.L.2002, c.70, the department is
authorized to transfer any unexpended balances and any repayments of loans and
interest therefrom as may be or become available on or before June 30, 2019, in
such amounts as needed to the Clean Water State Revolving Fund accounts
contained within the 1992 Wastewater Treatment Fund for the purposes of
providing clean water project loans and providing the State match as required
or will be required for the award of the capitalization grants made available
to the State for clean water projects pursuant to the Federal Clean Water Act.

(19) Of the sums appropriated to the Department of
Environmental Protection from the "2003 Water Resources and Wastewater
Treatment Fund" pursuant to P.L.2004, c.109, and P.L.2007, c.139, the
department is authorized to transfer any unexpended balances and any repayments
of loans and interest therefrom as may be or become available on or before June
30, 2019, in such amounts as needed to the Clean Water State Revolving Fund
accounts contained within the 2003 Water Resources and Wastewater Treatment
Fund for the purposes of providing clean water project loans and providing the
State match as required or will be required for the award of the capitalization
grants made available to the State for clean water projects pursuant to the
Federal Clean Water Act.

(20) There is appropriated to the Department of
Environmental Protection the sums deposited by the New Jersey Infrastructure Bank
into the Clean Water State Revolving Fund, the "Wastewater Treatment
Fund," the "1992 Wastewater Treatment Fund," the "Water
Supply Fund," the "Stormwater Management and Combined Sewer Overflow
Abatement Fund," established pursuant to the "Stormwater Management and
Combined Sewer Overflow Abatement Bond Act of 1989" (P.L.1989, c.181), the
"2003 Water Resources and Wastewater Treatment Fund" and the Drinking
Water State Revolving Fund, as appropriate, pursuant to paragraph (6) of
subsection c. of section 1 of P.L.
, c. (pending before the Legislature as Senate Bill No. 2647 of 2018 and
Assembly Bill No. of 2018), as available on or before June 30, 2019,
for the purposes of providing clean water project loans and drinking water
project loans and providing the State match as required or will be required for
the award of the capitalization grants made available to the State for clean
water projects pursuant to the Federal Clean Water Act and drinking water
projects pursuant to the Federal Safe Drinking Water Act.

Any such amounts shall be for the purpose of making
zero interest and principal forgiveness financing loans, to the extent
sufficient funds are available, to or on behalf of local government units or
public water utilities (hereinafter referred to as "project
sponsors") to finance a portion of the cost of construction of clean water
projects and drinking water projects listed in sections 2 and 3 of this act,
and for the purpose of implementing and administering the provisions of this
act, to the extent permitted by the Federal Disaster Relief Appropriations Act,
the Federal Clean Water Act, and any amendatory and supplementary acts thereto,
P.L.2009, c.77, the "Wastewater Treatment Bond Act of 1985"
(P.L.1985, c.329), the "Water Supply Bond Act of 1981" (P.L.1981,
c.261), the "Stormwater Management and Combined Sewer Overflow Abatement
Bond Act of 1989" (P.L.1989, c.181), the "Green Acres, Clean Water,
Farmland and Historic Preservation Bond Act of 1992" (P.L.1992, c.88), the
"Dam, Lake, Stream, Flood Control, Water Resources, and Wastewater
Treatment Project Bond Act of 2003" (P.L.2003, c.162), the Federal Safe
Drinking Water Act, and any amendatory and supplementary acts thereto, and
State law.

b. The department is authorized to make zero
interest and principal forgiveness financing loans to or on behalf of the
project sponsors for the environmental infrastructure projects listed in
subsection a. of section 2 and subsection a. of section 3 of this act for clean
water projects, up to the individual amounts indicated and in the priority stated,
to the extent there are sufficient eligible project applications, and except
that any such amounts may be reduced if a project fails to meet the
requirements of section 4 or 5 of this act, or by the Commissioner of
Environmental Protection pursuant to section 7 of this act, provided:

(1) a maximum of $3 million, as well as any
unallocated funds unspent at the end of State fiscal year 2018 from $10 million
reserved in State fiscal year 2018 for Barnegat Bay Watershed projects, in
principal forgiveness loans shall be issued to finance Barnegat Bay Watershed
environmental infrastructure projects as provided in subsection a. of section 3
of this act, wherein principal forgiveness shall be a minimum of 25 percent of
the fund loan amount per project sponsor in an amount not to exceed $2 million
of principal forgiveness per project sponsor;

(2) a maximum of $30 million shall be issued to
finance clean water redevelopment projects as provided in subsection a. of
section 3 of this act;

(3) to the extent funds are available from funds
appropriated but not allocated in State fiscal year 2018 from $30 million
reserved in State fiscal year 2018 for combined sewer overflow projects, principal
forgiveness loans shall be issued as provided in subsection a. of section 3 of
this act to communities in combined sewer overflow sewersheds sponsoring
construction projects that reduce or eliminate excessive infiltration/inflow or
extraneous flows wherein principal forgiveness loans shall not exceed $5
million per borrower subject to the availability of funds wherein 50 percent of
the principal of the fund loan shall be forgiven, 25 percent of the loan shall
be a zero interest rate fund loan, and 25 percent of the loan shall be a trust
market rate loan. A 100 percent DEP interest-free loan will be issued to
borrowers for amounts in excess of the cap;

(4) a maximum of $6 million, as well as
any appropriated but unallocated funds designated in State fiscal year 2018 for
combined sewer overflow projects, in principal forgiveness loans shall be
issued as provided in subsection a. of section 3 of this act for combined sewer
overflow abatement projects, including projects that use practices that restore
natural hydrology through infiltration, evapotranspiration, or the usage or
harvesting of stormwater,wherein principal forgiveness loans shall not
exceed $2 million per borrower subject to the availability of funds, andwherein
50 percent of the principal of the fund loan shall be forgiven, 25 percent of
the loan shall be a zero interest rate fund loan, and 25 percent of the loan
shall be a trust market rate loan subject to the availability of funds. A 100
percent DEP interest-free loan will be issued to borrowers for amounts in
excess of the cap;

(5) to the extent funds are available, a maximum of $1
million in principal forgiveness loans shall be issued to finance clean water
environmental infrastructure projects as provided in subsection a. of section 3
of this act for systems serving populations of up to 10,000 residents for the
development of asset management plans wherein principal forgiveness shall be
100 percent of the fund loan amount per project in an amount not to exceed
$100,000 per project sponsor subject to the availability of funds; and

(6) those projects listed in subsection a. of section
2 of this act and subsection a. of section 3 of this act that were previously
identified in P.L.2017, c.143, as amended by P.L.2017, c.326, are granted
continued priority status and shall be subject to the provisions of P.L.2017,
c.143, as amended by P.L.2017, c.326 provided such projects receive short-term
funding prior to June 30, 2019.

c. The department is authorized to make zero
interest and principal forgiveness financing loans to or on behalf of the
project sponsors for the environmental infrastructure projects listed in
subsection b. of section 3 of this act for drinking water projects, up to the
individual amounts indicated and in the priority stated, provided:

(1) a maximum of 30 percent of the 2018 Drinking Water
State Revolving Fund capitalization grant not to exceed $5 million may be
issued as provided in subsection b. of section 3 of this act for drinking water
systems, as follows:

(a) up to $4 million of Drinking Water State
Revolving Fund loans shall be available for drinking water systems serving
populations of up to 10,000 residents wherein principal forgiveness shall not
exceed $500,000 in the aggregate and shall not exceed 50 percent of the total
loan amount per project sponsor in an amount not to exceed $1 million per
project sponsor.

Loans for drinking water systems serving 500 or fewer
residents shall be given the highest priority, followed by systems serving
between 501 to 10,000 residents;

(b) a maximum of $1 million in principal forgiveness
loans shall be issued to drinking water systems serving populations of up to
10,000 residents for the development of asset management plans wherein
principal forgiveness shall be 100 percent of the fund loan amount per project
in an amount not to exceed $100,000 per project sponsor subject to the
availability of funds; and

(c) a maximum of $30 million of principal forgiveness
for drinking water systems serving communities with a median household income
less than the median household income for the county in which they are located
for lead line replacement wherein principal forgiveness shall not exceed $1
million of principal forgiveness per water system project.

Loans may be made pursuant to this subsection to the
extent there are sufficient eligible project applications and as required or
will be required for the award of the capitalization grants made available to
the State for drinking water projects pursuant to the Federal Safe Drinking
Water Act. Any such amounts may be reduced by the Commissioner of
Environmental Protection pursuant to section 7 of this act, or if a project
fails to meet the requirements of section 4 or 5 of this act.

(2) Those projects listed in subsection a. of section
3 of this act and subsection b. of section 3 of this act that were previously
identified in P.L.2017, c.143, as amended by P.L.2017, c.326, are granted
continued priority status and shall be subject to the provisions of P.L.2017,
c.143, as amended by P.L.2017, c.326, provided such projects receive short-term
funding prior to June 30, 2018.

d. The department is authorized to make zero
interest and principal forgiveness financing loans to or on behalf of the
project sponsors for the environmental infrastructure projects listed in
sections 2 and 3 of this act under the same terms, conditions and requirements
as set forth in this section from any unexpended balances of the amounts
appropriated pursuant to section 1 of P.L.1987, c.200, section 2 of P.L.1988,
c.133, section 1 of P.L.1989, c.189, section 1 of P.L.1990, c.99, section 1 of
P.L.1991, c.325, section 1 of P.L.1992, c.38, section 1 of P.L.1993, c.193, section
1 of P.L.1994, c.106, section 1 of P.L.1995, c.219, section 1 of P.L.1996,
c.85, section 1 of P.L.1997, c.221, section 2 of P.L.1998, c.84, section 2 of
P.L.1999, c.174, section 2 of P.L.2000, c.92, sections 1 and 2 of P.L.2001,
c.222, sections 1 and 2 of P.L.2002, c.70, sections 1 and 2 of P.L.2003, c.158,
sections 1 and 2 of P.L.2004, c.109, sections 1 and 2 of P.L.2005, c.196,
sections 1 and 2 of P.L.2006, c.68, sections 1 and 2 of P.L.2007, c.139,
sections 1 and 2 of P.L.2008, c.68, sections 1 and 2 of P.L.2009, c.102,
sections 1 and 2 of P.L.2010, c.63, sections 1 and 2 of P.L.2011, c.93,
sections 1 and 2 of P.L.2012, c.43, sections 1 and 2 of P.L.2013, c.95,
sections 1 and 2 of P.L.2014, c.25, sections 1 and 2 of P.L.2015, c.108, and
sections 1 and 2 of P.L.2016, c.32, as amended by P.L.2017, c.14, and sections
1 and 2 of P.L.2017, c.143, as amended by P.L.2017, c.326, including amounts
resulting from the low bid and final building cost reductions authorized
pursuant to section 6 of P.L.1987, c.200, section 7 of P.L.1988, c.133, section
6 of P.L.1989, c.189, section 6 of P.L.1990, c.99, section 6 of P.L.1991,
c.325, section 6 of P.L.1992, c.38, section 6 of P.L.1993, c.193, section 6 of
P.L.1994, c.106, section 6 of P.L.1995, c.219, section 6 of P.L.1996, c.85,
section 6 of P.L.1997, c.221, section 7 of P.L.1998, c.84, section 6 of
P.L.1999, c.174, section 6 of P.L.2000, c.92, section 6 of P.L.2001, c.222, section
6 of P.L.2002, c.70, section 6 of P.L.2003, c.158, section 6 of P.L.2004,
c.109, section 6 of P.L.2005, c.196, section 6 of P.L.2006, c.68, section 6 of
P.L.2007, c.139, section 6 of P.L.2008, c.68, section 7 of P.L.2009, c.102, section
6 of P.L.2010, c.63, section 6 of P.L.2011, c.93, section 6 of P.L.2012, c.43,
section 6 of P.L.2013, c.95, section 6 of P.L.2014, c.25, section 6 of
P.L.2015, c.108, and section 6 of P.L.2016, c.32, as amended by P.L.2017, c.14,
and section 6 of P.L.2017, c.143 as amended by P.L.2017, c.326, and from any
repayments of loans and interest from the Clean Water State Revolving Fund, the
"Wastewater Treatment Fund," the "Water Supply Fund," the "1992
Wastewater Treatment Fund," the "2003 Water Resources and Wastewater
Treatment Fund," and amounts deposited therein during State fiscal year
2017 and State fiscal year 2018 pursuant to the provisions of section 16 of
P.L.1985, c.329, and section 2 of P.L.2009, c.77 and any amendatory and
supplementary acts thereto, including any Clean Water State Revolving Fund
Accounts contained within the "Wastewater Treatment Fund," and from
any repayment of loans and interest from the Drinking Water State Revolving
Fund.

e. The department is authorized to make zero
interest and principal forgiveness Sandy financing loans to or on behalf of the
project sponsors for the Sandy environmental infrastructure projects listed in
subsection a. of section 3 of this act for clean water projects and subsection
b. of section 3 of this act for drinking water projects, in a manner consistent
with the Federal Disaster Relief Appropriations Act, up to the individual
amounts indicated, except that any such amount may be reduced by the
Commissioner of Environmental Protection pursuant to section 7 of this act, or
if a project fails to meet the requirements of section 4, 5, or 7 of this act,
provided a maximum of $300 million shall be provided for Sandy financing loans
for clean water and drinking water projects to provide financial assistance to
communities affected by the Storm Sandy, and for projects whose purpose is to
reduce flood damage risk and vulnerability or to enhance resiliency to rapid
hydrologic change or a natural disaster.

f. For the purposes of this act:

"Base financing" means zero interest loans provided by
the Department of Environmental Protection from moneys made available for the
purposes of this act from any source other than funds received pursuant to the
Federal Disaster Relief Appropriations Act, related State matching funds, and
interest earned thereon.

"Sandy financing" or "Sandy funding" means
grants, zero interest loans or principal forgiveness loans provided by the
Department of Environmental Protection from funds made available to the State
for clean water projects, clean water project match, drinking water projects or
drinking water project match pursuant to the Federal Disaster Relief
Appropriations Act.

2. a. (1) The department is authorized to
expend funds for the purpose of making supplemental zero interest loans to or
on behalf of the project sponsors listed below for the following clean water
environmental infrastructure projects:

Project Sponsor

Project Number

Estimated Allowable DEP Loan Amount

Estimated Total Allowable Loan Amount

Burlington Township

S340712-14-1

$150,000

$200,000

Manasquan Borough

S340450-01-1

$1,582,500

$2,110,000

Mendham Township

S340477-01-1

$1,615,500

$2,154,000

North Hudson SA

S340952-19-1

$525,000

$700,000

Warren Township SA

S340964-02-1

$262,500

$350,000

Total Projects: 5

$4,135,500

$5,514,000

(2) The loans authorized in this subsection shall be
made for the difference between the allowable loan amounts required by these
projects based upon final building costs pursuant to section 7 of this act and
the loan amounts certified by the Commissioner of Environmental Protection in
State fiscal years 2016, 2017, and 2018 and for increased allowable costs as
defined and determined in accordance with the rules and regulations adopted by
the department pursuant to section 4 of P.L.1985, c.329. The loans authorized
in this subsection shall be made to or on behalf of the project sponsors
listed, up to the individual amounts indicated and in the priority stated, to
the extent sufficient funds are available, except as a project fails to meet
the requirements of section 4, 5, or 7of this act.

(3) The zero interest loans for the projects
authorized in this subsection shall have priority over projects listed in
subsection a. of section 3 of this act.

b. The Department of Environmental Protection is
authorized to adjust the allowable Department of Environmental Protection loan
amount for projects authorized in this section to between 25 percent and 75
percent of the total allowable loan amount.

3. a. The following environmental infrastructure
projects shall be known and may be cited as the "Storm Sandy and State
Fiscal Year 2019 Clean Water Project Eligibility List":

Project
Sponsor

Project
Number

Estimated
Allowable DEP Loan Amount

Estimated
Total Allowable Loan Amount

Aberdeen Township

S340869-02

$6,750,000

$9,000,000

Atlantic County UA

S340809-23

$11,040,000

$11,040,000

Atlantic County UA

S340809-24

$600,000

$800,000

Atlantic County UA

S340809-25

$17,520,000

$17,520,000

Atlantic County UA

S340809-26

$1,500,000

$1,500,000

Atlantic County UA

S340809-28

$3,075,000

$4,100,000

Bayshore RSA

S340697-05

$9,750,000

$13,000,000

Bayshore RSA

S340697-06

$11,325,000

$15,100,000

Bradley Beach Borough

S340472-01

$2,025,000

$2,700,000

Bradley Beach Borough

S340472-02

$1,942,538

$2,590,050

Burlington City

S340140-01

$1,275,000

$1,700,000

Camden County MUA

S340640-17

$2,625,000

$3,500,000

Carteret Borough

S340939-09

$11,257,500

$15,010,000

Cinnaminson SA

S340170-08

$870,000

$1,160,000

Elizabeth City

S340942-19

$5,775,000

$7,700,000

Glen Ridge

Borough

S340861-03

$334,387

$445,849

Gloucester City

S340958-08

$1,575,000

$2,100,000

Gloucester County UA

S340902-14

$33,750,000

$45,000,000

Gloucester County UA

S340902-16

$1,575,000

$2,100,000

Hightstown Borough

S340915-05

$1,050,000

$1,400,000

Hoboken City

S340635-07

$3,750,000

$5,000,000

Jersey City

S340928-30

$2,033,250

$2,711,000

Jersey City MUA

S340928-15

$30,750,000

$41,000,000

Jersey City MUA

S340928-19

$5,625,000

$7,500,000

Jersey City MUA

S340928-20

$5,400,000

$7,200,000

Jersey City MUA

S340928-22

$562,500

$750,000

Kearny MUA

S340259-07

$4,875,000

$6,500,000

Little Egg Harbor MUA

S340579-02

$3,187,500

$4,250,000

Manasquan River RSA

S340911-03

$495,000

$660,000

Mendham Township

S340477-01

$1,875,000

$2,500,000

Millville City

S340921-07

$9,000,000

$12,000,000

Montclair Township

S340837-04

$1,275,000

$1,700,000

Newark City

S340815-22

$7,875,000

$10,500,000

North Bergen MUA

S340652-14

$17,250,000

$23,000,000

North Hudson SA

S340952-22

$13,500,000

$18,000,000

North Hudson SA

S340952-23

$2,325,000

$3,100,000

North Hudson SA

S340952-28

$1,275,000

$1,700,000

Northwest Bergen County UA

S340700-13

$3,900,000

$5,200,000

Ocean County

S344080-09

$975,000

$1,300,000

Ocean County

S344080-10

$187,500

$250,000

Ocean County

S344080-11

$262,500

$350,000

Ocean Township SA

S340750-13

$412,500

$550,000

Ocean Township SA

S340750-14

$1,875,000

$2,500,000

Passaic Valley SC

S340689-25

$6,825,000

$9,100,000

Passaic Valley SC

S340689-30

$2,775,000

$3,700,000

Passaic Valley SC

S340689-31

$3,000,000

$4,000,000

Passaic Valley SC

S340689-32

$7,500,000

$10,000,000

Passaic Valley SC

S340689-34

$2,175,000

$2,900,000

Passaic Valley SC

S340689-38

$15,750,000

$21,000,000

Passaic Valley SC

S340689-39

$3,612,000

$4,816,000

Paulsboro Borough

S340164-01

$2,062,500

$2,750,000

Perth Amboy City

S340435-11

$4,844,513

$6,459,351

Perth Amboy City

S340435-13

$637,500

$850,000

Plumsted Township

S340607-03

$20,250,000

$27,000,000

Point Pleasant Beach Borough

S344190-02

$2,250,000

$3,000,000

Rahway Valley SA

S340547-15

$1,941,389

$2,588,518

Rahway Valley SA

S340547-14

$7,125,000

$9,500,000

Riverdale Borough

S340729-02

$217,342

$289,789

Riverside SA

S340490-01

$630,000

$840,000

Rockaway Valley RSA

S340821-06

$6,000,000

$8,000,000

Rockaway Valley RSA

S340821-07

$6,150,000

$8,200,000

Rockaway Valley RSA

S340821-09

$1,650,000

$2,200,000

Roxbury Township

S340381-07

$5,625,000

$7,500,000

Ship Bottom Borough

S340311-03

$3,525,000

$4,700,000

Somerset Raritan Valley SA

S340801-08

$12,375,000

$16,500,000

Somerville Borough

S342013-01

$8,625,000

$11,500,000

Stafford Township

S344100-03

$4,200,000

$5,600,000

Stony Brook RSA

S340400-10

$3,825,000

$5,100,000

Sussex County MUA

S342008-05

$9,750,000

$13,000,000

Ventnor City

S340667-03

$1,500,000

$2,000,000

Total Projects: 70

$389,100,418

$508,780,557

b. The following environmental infrastructure
projects shall be known and may be cited as the "Storm Sandy and State
Fiscal Year 2019 Drinking Water Project Eligibility List":

Project
Sponsor

Project
No.

Estimated
Allowable DEP Loan Amount

Estimated
Total Allowable Loan Amount

Aberdeen Township

1330004-001

$2,925,000

$3,900,000

Bellmawr Borough

0404001-006

$1,725,000

$2,300,000

Berkeley Township MUA

1505004-009

$1,650,000

$2,200,000

Berkeley Township MUA

1505004-007

$525,000

$700,000

Bordentown City

0303001-008

$1,650,000

$2,200,000

Brick Township MUA

1506001-012

$4,065,000

$5,420,000

Cape May City

0502001-004

$1,650,000

$2,200,000

Clinton Town

1005001-008

$1,125,000

$1,500,000

Clinton Town

1005001-009

$900,000

$1,200,000

Elmer Borough

1702001-001

$600,000

$800,000

Gloucester City

0414001-022

$900,000

$1,200,000

Hoboken City

0905001-001

$6,375,000

$8,500,000

Jackson Township MUA

1511001-012

$8,250,000

$11,000,000

Jackson Township MUA

1511001-013

$15,000,000

$20,000,000

Jackson Township MUA

1511001-010

$6,150,000

$8,200,000

Lavallette Borough

1515001-001

$998,250

$1,331,000

Little Egg Harbor MUA

1516001-004

$2,250,000

$3,000,000

Long Beach Township

1517001-501

$1,725,000

$2,300,000

Manchester Township

1518005-002

$4,125,000

$5,500,000

Mantua Township MUA

0810004-002

$1,350,000

$1,800,000

Mantua Township MUA

0810004-003

$1,050,000

$1,400,000

Maple Shade Township

0319001-006

$1,950,000

$2,600,000

Middlesex Water Company

1225001-026

$9,750,000

$13,000,000

Netcong Borough

1428001-007

$2,775,000

$3,700,000

Netcong Borough

1428001-008

$825,000

$1,100,000

Netcong Borough

1428001-009

$300,000

$400,000

Newark City

0714001-016

$10,500,000

$14,000,000

Newark City

0714001-500

$3,825,000

$5,100,000

NJ American Water Co.,
Inc.

1345001-017

$7,575,000

$10,100,000

NJ American Water Co.,
Inc.

2004002-013

$12,000,000

$16,000,000

NJ American Water Co.,
Inc.

2004002-500

$27,000,000

$36,000,000

NJ American Water Co.,
Inc.

1345001-016

$10,125,000

$13,500,000

NJ American Water Co.,
Inc.

2004002-011

$9,600,000

$12,800,000

North Jersey District Water
Supply Comm.

1613001-022

$12,750,000

$17,000,000

North Jersey District
Water Supply Comm.

1613001-025

$18,000,000

$24,000,000

Old Bridge MUA

1613001-033

$3,075,000

$4,100,000

Paulsboro Borough

1209002-013

$3,000,000

$4,000,000

Pennington Borough

0814001-003

$2,100,000

$2,800,000

Rahway City

1108001-002

$937,500

$1,250,000

Red Bank Borough

2013001-007

$13,650,000

$18,200,000

Saddle Brook Township

1340001-002

$1,500,000

$2,000,000

Ship Bottom Borough

0257001-002

$1,425,000

$1,900,000

Stafford Township

1528001-002

$2,812,500

$3,750,000

Total Projects: 44

1530004-018

$1,800,000

$2,400,000

$222,263,250

$296,351,000

c. The Department of Environmental Protection is
authorized to adjust the allowable Department of Environmental Protection loan
amount for projects authorized in this section to between 25 percent and 75
percent of the total allowable loan amount and loan amounts to less than 25
percent to the extent the priority ranking and an insufficiency of funding
prevents the department from making the loan.

4. Any financing loan made by the Department of
Environmental Protection pursuant to this act shall be subject to the following
requirements:

a. The Commissioner Environmental Protection has
certified that the project is in compliance with the provisions of P.L.1977,
c.224, P.L.1985, c.329, P.L.1992, c.88, P.L.1997, c.223, P.L.1997, c.225 or
P.L.2003, c.162, and any rules and regulations adopted pursuant thereto;

b. A loan for an environmental infrastructure
project listed in section 2 or 3 of this act shall be subject to the terms and
conditions of the financing program year in which the trust issued an interim
financing program fund loan for such project or the terms and conditions of the
state fiscal year 2019 financing program in the absence of an interim financing
program fund loan.

c. The estimated Department of Environmental
Protection allowable loan amount shall not exceed 75 percentof the
total allowable loan amount of the environmental infrastructure facility for
projects listed in subsections a. and b. of section 2 of this act, and in
subsections a. and b. of section 3 of this act, provided that:

(1) for clean water project and drinking water project
loans to (a) municipalities that do not satisfy the New Jersey Infrastructure Bank
credit policy but are subject to State financial supervision and oversight
pursuant to the "Local Government Supervision Act (1947)," P.L.1947,
c.151 (C.52:27BB-1 et seq.), or (b)municipal, county, or regional
sewerage authorities, or utilities authorities, that do not satisfy the New
Jersey Infrastructure Bank credit policy but where the municipal participant
through its service agreement with the authority or utility is under State
financial supervision and oversight pursuant to the "Local Government
Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.), and the
repayment obligation of the authority or utility is secured by the full faith
and credit of the participating municipality pursuant to the service agreement,
the Department of Environmental Protection allowable loan amount shall be up to
100 percent of the total allowable loan amount not to exceed a total of $10
million for all such loans;

(2) for clean water and drinking water loans to
municipalities receiving funding under the United States Department of Housing
and Urban Development Community Development Block Grant - Disaster Recovery
Program (CDBG-DR) the Department of Environmental Protection allowable loan
amount shall be up to 100 percent of the total allowable loan amount; and

(3) for loans to communities in a combined sewer
overflow sewershed sponsoring construction projects that reduce or eliminate
excessive infiltration, inflow, or extraneous flows, the Department of
Environmental Protection allowable loan amount shall be up to 100 percent of
the total allowable loan amount;

d. With the exception of paragraphs (1) through (3)
of subsection c. of this section, the loan shall be conditioned upon approval
of a loan from the New Jersey Infrastructure Bank pursuant to P.L. , c. , (pending
before the Legislature as Senate Bill No. of 2018 and Assembly Bill No. of
2018, prior to June 30, 2010;

e. The loan shall be repaid within a period not to
exceed 30 years, or 45 years for combined sewer overflow abatement projects, of
the making of the loan; and

f. The loan shall be subject to any other terms and
conditions as may be established by the commissioner and approved by the State
Treasurer, which may include, notwithstanding any other provision of law to the
contrary, subordination of a loan authorized in this act to loans made by the
New Jersey Infrastructure Bank pursuant to P.L. , c. (pending before the Legislature as Senate Bill
No. 2647 of 2018 and Assembly Bill No. of 2018), or to administrative
fees payable to the trust pursuant to subsection o. of section 5 of P.L.1985,
c.334 (C.58:11B‑5).

5. a. Any Sandy financing loan made by the
Department of Environmental Protection pursuant to this act shall be subject to
the following requirements:

(1) The commissioner has certified that the project is
in compliance with the provisions of Title X, Chapter 7 of the Federal
"Disaster Relief Appropriations Act of 2013" (Pub.L.113-2), and any
amendatory and supplementary acts thereto; and

(2) The commissioner has certified that the project is
in compliance with the provisions of P.L.1977, c.224, P.L.1985, c.329, P.L.1992,
c.88, P.L.1997, c.223, P.L.1997, c.225 or P.L.2003, c.162, and any rules and
regulations adopted pursuant thereto.

b. The total amount of Sandy financing loans
received by any project sponsor for drinking water projects listed in
subsection b. of section 3 of this act shall not exceed $15 million of which
not more than $4.5 million of the principal may be forgiven. In the event a
project sponsor's individual loan needs exceed $15 million, the borrower may
select which of its projects it will seek funding pursuant to this section, and
the borrower may seek a loan for excess costs in a base financing loan. In the
event that additional Sandy funding becomes available because project sponsors
do not close on loans or the project sponsors loan requests are less than
originally applied for, the loan not to exceed amount may be increased to the
extent needed to assure full utilization of Sandy funding for drinking water
projects, provided:

(1) the loan shall be repaid within a period not to
exceed 30 years of the making of the loan;

(2) the loan shall be conditioned upon approval of a
loan from the New Jersey Infrastructure Bank pursuant to P.L. , c. (pending before the
Legislature as Senate Bill No. 2647 of 2018 and Assembly Bill No. of 2018)
prior to June 30, 2019; and

(3) the loan shall be subject to any other terms and
conditions as may be established by the commissioner and approved by the State
Treasurer, which may include, notwithstanding any other provision of law to the
contrary, subordination of a loan authorized in this act to loans made by the trust
pursuant to P.L. , c.
(pending before the Legislature as Senate Bill No. 2647 of 2018 and Assembly
Bill No. of 2018) prior to June 30, 2019, or to administrative fees
payable to the trust pursuant to subsection o. of section 5 of P.L.1985, c.334
(C.58:11B-5).

6. The eligibility lists and authorization for the
making of loans pursuant to sections 2 and 3 of this act shall expire on July
1, 2019, and any project sponsor which has not executed and delivered a loan
agreement with the department for a loan authorized in this act shall no longer
be entitled to that loan.

7. The Commissioner of Environmental Protection is
authorized to reduce or increase the individual amount of loan funds made
available to or on behalf of project sponsors pursuant to sections 2 and 3 of
this act based upon final or low bid building costs defined in and determined
in accordance with rules and regulations adopted by the commissioner pursuant
to section 4 of P.L.1985, c.329, section 2 of P.L.1999, c.362 (C.58:12A-12.2),
or section 5 of P.L.1981, c.261, provided that the total loan amount does not
exceed the estimated total allowable loan amount. The commissioner is
authorized to reduce or increase the individual amount of loan funds made
available to or on behalf of project sponsors pursuant to sections 2 and 3 of
this act in an amount not to exceed 10 percent of the total allowable loan
amount based upon additional project costs to comply with the Department of
Environmental Protection's guidance for asset management, emergency response,
flood protection, and auxiliary power.

8. The expenditure of the funds appropriated by this
act is subject to the provisions and conditions of P.L.1977, c.224, P.L.1085,
c.302, P.L.1985, c.329, P.L.1989, c.181, P.L.1992, c.88, P.L.1997, c.223,
P.L.1997, c.225 or P.L.2003, c.162, and the rules and regulations adopted by
the Commissioner of Environmental Protection pursuant thereto, and the
provisions of the Federal Disaster
Relief Appropriations Act, the Federal Clean Water Act or the Federal Safe
Drinking Water Act, and any amendatory and supplementary acts thereto, as
appropriate.

9. The Department of Environmental Protection shall
provide general technical assistance to any project sponsor requesting
assistance regarding environmental infrastructure project development or
applications for funds for a project.

10. a. Prior to repayment to the Clean Water State
Revolving Fund pursuant to sections 1 and 2 of P.L.2009, c.77 and any
amendatory and supplementary acts thereto, prior to repayment to the
"Wastewater Treatment Fund" pursuant to the provisions of section 16
of P.L.1985, c.329, prior to repayment to the "1992 Wastewater Treatment
Fund" pursuant to the provisions of section 28 of P.L.1992, c.88, prior to
repayment to the Drinking Water State Revolving Fund, prior to repayment to the
"Stormwater Management and Combined Sewer Overflow Abatement Fund"
pursuant to the provisions of section 15 of P.L.1989, c.181, prior to repayment
to the "2003 Water Resources and Wastewater Treatment Fund" pursuant
to the provisions of section 20 of P.L.2003, c.162, or prior to repayment to
the "Water Supply Fund" pursuant to the provisions of section 15 of
P.L.1981, c.261, repayments of loans made pursuant to these acts may be
utilized by the New Jersey Infrastructure Bank established pursuant to
P.L.1985, c.334 (C.58:11B‑1 et seq.), as amended and supplemented by
P.L.1997, c.224, under terms and conditions established by the commissioner and
trust, and approved by the State Treasurer, and consistent with the provisions
of P.L.1985, c.334 (C.58:11B‑1 et seq.) and federal tax, environmental or
securities law, to the extent necessary to secure repayment of trust bonds
issued to finance loans approved pursuant to P.L. , c. (pending before the Legislature as Senate
Bill No. 2647 of 2018 and Assembly Bill No. of 2018), and to secure
the administrative fees payable to the trust pursuant to subsection o. of
section 5 of P.L.1985, c.334 (C.58:11B‑5) by the project sponsors
receiving trust loans.

c. To the extent that any loan repayment sums are
used to satisfy any trust bond repayment or administrative fee payment
deficiencies, the trust shall repay such sums to the department for deposit
into the Clean Water State Revolving Fund, the "Wastewater Treatment
Fund," the "1992 Wastewater Treatment Fund," the "Water
Supply Fund," the Drinking Water State Revolving Fund, the "2003
Water Resources and Wastewater Treatment Fund," or the "Stormwater
Management and Combined Sewer Overflow Abatement Fund," as appropriate,
from amounts received by or on behalf of the trust from project sponsors
causing any such deficiency.

11. The Commissioner of Environmental Protection is
authorized to enter into capitalization grant agreements as may be required
pursuant to the Federal Disaster Relief Appropriations Act, the Federal Clean
Water Act, or the Federal Safe Drinking Water Act.

12. There is appropriated to the New Jersey
Infrastructure Bank established pursuant to P.L.1985, c.334 (C.58:11B‑1
et seq.) from repayments of loans and interest deposited in any account, on or
before June 30, 2019,including the "Clean Water State Revolving Fund,"
the "1992 Wastewater Treatment Fund," the "Water Supply
Fund," the "Stormwater Management and Combined Sewer Overflow
Abatement Fund," the "2003 Water Resources and Wastewater Treatment
Fund," or the Drinking Water State Revolving Fund, as appropriate, and
from any net earnings received from the investment and reinvestment of such
deposits, such sums as the chairman of the trust shall certify to the
Commissioner of Environmental Protection to be necessary and appropriate for
deposit into one or more reserve funds or accounts established by the trust
pursuant to section 11 of P.L.1985, c.334 (C.58:11B‑11).

13. There is appropriated to the New Jersey
Infrastructure Bank established pursuant to P.L.1985, c.334 (C.58:11B-1 et
seq.), funds from the Federal Disaster Relief Appropriations Act, Pub.L.113-2,
deposited in any account including the Clean Water State Revolving Fund, the
"Water Supply Fund," or the Drinking Water State Revolving Fund, as
appropriate, and from any net earnings received from the investment and
reinvestment of such deposits, such sums as the chairman of the trust certifies
to the Commissioner of Environmental Protection to be necessary and appropriate
for deposit into one or more reserve funds or accounts established by the trust
pursuant to section 11 of P.L.1985, c.334 (C.58:11B-11).

14. This act shall take effect immediately.

STATEMENT

This bill appropriates certain federal and State moneys
to the Department of Environmental Protection (DEP) for the purpose of
implementing the State Fiscal Year 2019 New Jersey Environmental Infrastructure
Financing Program (NJEIFP), which is expected to finance approximately $810.6
million in Storm Sandy and other environmental infrastructure projects for
State Fiscal Year 2019.

To the extent funds are available, principal
forgiveness loans will be available for CSO projects with a focus on green
technology (e.g., green roofs, rain gardens, porous pavement, and other
activities that maintain and restore natural hydrology). For these projects,
50 percent of the fund loan will be forgiven, 25 percent of the loan will be a
zero interest rate fund loan, and 25 percent of the loan will be a trust market
rate loan. Principal forgiveness will be available to the highest ranked CSO
projects and will be awarded according to the DEP's ranking methodology based
on projects' relative water quality benefit in conjunction with project
readiness. Approximately $3 million will be available for principal
forgiveness loans for stormwater runoff mitigation environmental infrastructure
projects in the Barnegat Bay Watershed to continue addressing the critical
water quality issues confronting this waterbody, of which 25 percent will be
subject to principal forgiveness in an amount not to exceed $2 million of
principal forgiveness per project sponsor. Approximately 10 percent of the
State's clean water capitalization grant and 20 percent of the State's drinking
water capitalization grant will be used as a green project reserve as may be
required in the 2018 federal appropriation. Approximately $30 million is
available for loans to eligible redevelopment projects.

To the extent funds are available, a maximum of $1
million in principal forgiveness loans will be available to finance the
development of asset management plans for systems serving populations up to
10,000 residents of which 100 percent will be subject to principal forgiveness
in an amount not to exceed $100,000 per project sponsor.

A maximum of $4 million in principal forgiveness loans
will be available to drinking water systems for improvements to water supply
systems serving populations of up to 10,000 people will be in an amount not to
exceed $500,000 and may not exceed 50 percent of the total loan amount per
project sponsor in an amount not to exceed $1 million per project sponsor. To
the extent funds are available, a maximum of $30 million of principal forgiveness
loans are available for drinking water systems serving communities with a
median household income less than the median household income for the county in
which they are located for lead line replacement in an amount not to exceed $1
million of principal forgiveness per project sponsor.

Disaster Relief Emergency Financing Program loans will
continue to be available for short-term financing (up to three full fiscal
years) for projects to repair or improve the resiliency of environmental
infrastructure systems adversely impacted by Storm Sandy. The source of funds
for such loans is currently repayments of prior NJEIFP Loans and New Jersey
Infrastructure Bank (trust) operating funds but private bank financing for such
loans may be used as the need arises. Finally, short-term Interim Financing
Program (IFP) Loans will be available for projects approved to receive
long-term financing. IFP loans will be available upon project certification by
the DEP, and satisfaction of financial eligibility requirements. The loans
will finance costs disbursed prior to long-term financing. The source of funds
for such loans include prior capitalization grants, NJEIFP loan repayments,
prior State bond acts, and interest earnings thereon.

The DEP would use the funds appropriated under this
bill to make zero-interest loans to local governments and privately-owned water
companies (project sponsors) for between 25 percent and 75 percent of project
costs totaling (1) $508.78 million for new clean water projects included in the
"Storm Sandy and State Fiscal Year 2019 Clean Water Project Eligibility
List," and $5.51 million for clean water projects through supplemental
zero interest loans to project sponsors that had previously received a loan
subject to the availability of funds; and (2) $296.35 million for new drinking
water projects included in the "Storm Sandy and State Fiscal Year 2019
Drinking Water Project Eligibility List." The supplemental loans constitute
the difference between the allowable loan amount required by the project and
the loan amount certified by the Commissioner of Environmental Protection in
State Fiscal Year 2019. The bill authorizes the DEP to issue loans up to 100
percent of the total allowable loan amount (1) for clean water loans to
municipalities that do not satisfy the trust credit policy but are subject to
State financial supervision and oversight pursuant to the "Local
Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.),
(2) for clean water and drinking water loans to county or regional sewerage or
utility authorities that do not satisfy the trust's credit policy but where the
municipal participant via its service agreement with the authority is under
State financial supervision and oversight pursuant to the "Local Government
Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.) and the
repayment obligation of the authority remains secured by the full faith and
credit of the participating municipality pursuant to its service agreement with
the municipality, (3) for clean water project and drinking water project loans
to municipalities receiving funding under the United States Department of
Housing and Urban Development Community Development Block Grant - Disaster
Recovery Program (CDBG-DR), (4) for loans to clean water or drinking water
systems serving 10,000 or fewer residents the DEP allowable loan amount will be
100% of the total allowable loan amount not to exceed a total of $100,000 per
project sponsor, and (5) for loans to communities in a combined sewer overflow "CSO"
sewershed sponsoring construction projects that reduce or eliminate excessive
infiltration/inflow or extraneous flows.

A companion bill, Senate Bill No. of 2018, would
authorize the trust to make market rate loans to local governments and privately-owned
water companies (project sponsors) for between 25 percent and 75 percent of
project costs totaling (1) $508.78 million for 70 new clean water projects
included in the "Storm Sandy and State Fiscal Year 2019 Clean Water
Project Eligibility List," and $5.51 million for five clean water projects
through supplemental zero interest loans to project sponsors that had
previously received a loan subject to the availability of funds; and (2) $296.35
million for 44 new drinking water projects included in the "Storm Sandy
and State Fiscal Year 2019 Drinking Water Project Eligibility List."
Under this bill, in conjunction with Senate Bill No. of 2018, the Storm Sandy
and State Fiscal Year 2019 New Jersey Environmental Infrastructure Financing
Program would finance $810.6 million in environmental infrastructure projects
for State Fiscal Year 2019 subject to the availability of funds.

Appropriates funds to DEP for environmental
infrastructure projects for FY2019.